| Company: | Penn West Petroleum, Ltd |
| Ticker Symbol: | PWE |
| Class Period: | May-1-12 to Jul-29-14 |
| Date Filed: | Aug-4-14 |
| Lead Plaintiff Deadline: | Oct-3-14 |
| Court: | Southern District of New York |
| Allegations: | |
The Complaint charges that Defendants made materially false and/or misleading statements, including that the Company was understating operating costs and overstating capital expenditures and royalty expenses; and the Company's improper accounting practices were causing Penn West to be at risk of non-compliance with certain of its debt covenants.
On July 29, 2014, the Company disclosed that its Audit Committee was conducting an internal review of certain of its accounting practices. Thus far, the Audit Committee has concluded that the Company improperly reclassified approximately $181 million in operating expenses as capital expenditures, and had "incorrectly reclassified" approximately $200 million in additional operating expenses as royalty expenses for 2012 and 2013. The Company will restate its past financial statements for years 2012 and 2013 and certain interim periods, and consequently, may not be in compliance with certain of its debt covenants.
On this news, Penn West shares declined $1.30 per share or 14% on July 30, 2014.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
